The platform to discuss National Small Industries Corporation (NSIC)’s Single Point Registration Scheme
benefits to small scale units.

Thursday, March 3, 2011

NSIC NEW DELHI

National Small Industries Corporation Ltd. (NSIC), an ISO 9001 certified company, since its establishment in 1955, has been working to fulfill its mission of promoting, aiding and fostering the growth of small scale industries and industry related small scale services/business enterprises in the country. Over a period of five decades of transition, growth and development, NSIC has proved its strength within the country and abroad by promoting modernization, upgradation of technology, quality consciousness, strengthening linkages with large medium enterprises and enhancing exports - projects and products from small industries.

NSIC carries forward its mission to assist small enterprises with a set of specially tailored schemes designed to put them in a competitive and advantageous position. The schemes comprise of facilitating marketing support, credit support, technology support and other support services.

NSIC carries forward its mission to assist small enterprises with a set of specially tailored schemes designed to put them in a competitive and advantageous position. The schemes comprise of facilitating marketing support, credit support, technology support and other support services.

Marketing
Marketing, a strategic tool for business development, is critical to the growth and survival of small enterprises in today's intensely competitive market. NSIC acts as a facilitator to promote small industries products and has devised a number of schemes to support small enterprises in their marketing efforts, both in an outside the country. These schemes are briefly described as under:

Consortia and Tender Marketing
Small Enterprises in their individual capacity face problems to procure & execute large orders, which inhibit and restrict their growth. NSIC, accordingly adopts Consortia approach and forms consortia of units manufacturing the same products, thereby easing out marketing problems of SSIs. The Corporation explores the market and secures orders for bulk quantities. These orders are then distributed to small units in tune with their production capacity. Testing facilities are also provided to enable units to improve and maintain the quality of their products conforming to the standard specifications.

Single point Registration for Government Purchase: NSIC operates a single Point Registration Scheme under the Government Purchase Programme, wherein the registered SSI units get purchase preference in Government purchase programme, exemption from payment of Earnest Money Deposit etc.

Issue of tender sets free of cost.

Advance intimation of tenders issued by DGS&D.

Exemption from payment of earnest money.

Waiver of security deposit up to the monetary limit for which the unit is registered.

Issue of competency certificate in case the value of an order exceeds the monetary limit, after due verification.

Exhibitions and Technology Fairs
To showcase the competencies of Indian SSIs and to capture market opportunities, NSIC participates in select International and National Exhibitions and Trade Fairs every year. NSIC facilitates the participation of the small enterprises by providing concessions in rental etc. Participation in these events exposes SSI units to international practices and enhances their business prowess.

Buyer-Seller meets
Bulk and departmental buyers such as the Railways, Defence, Communication departments and large companies are invited to participate in buyer-seller meets to enrich SSI unit's knowledge regarding terms and conditions, quality standards, etc required by the buyer. These programmes are aimed at vendor development from SSI units for the bulk manufacturers.

Export of Products and ProjectsNSIC is a recognized Export House and exporting products and projects of small industries of India to other countries. The major areas of operation are:

Credit SupportNSIC facilitates credit requirements of small enterprises in the following areas.

Financing for procurement of Raw Material (Short term)
NSIC's Raw Material Assistance Scheme aims at helping Small Scale Industries/ Enterprises by way of financing the purchase of Raw Material (both indigenous & imported). The salient features are

Financial Assistance for procurement of Raw Materials upto 90 days.

Bulk purchase of basic raw materials at competitive rates.

NSIC facilitates import of scares raw materials.

NSIC takes care of all the procedures, documentation & issue of letter of credit in case of imports.

Finance through syndication with Banks
In order to ensure smooth credit flow to small enterprises, NSIC is entering into strategic alliances with commercial banks to facilitate long term / working capital financing of the small enterprises across the country. The arrangement envisages forwarding of loan applications of the interested small enterprises by NSIC to the banks and sharing the processing fee.

Performance and Credit Rating Scheme for small industries
To enable small enterprises to ascertain the strengths and weaknesses of their existing operations and take corrective measures to enhance their organizational strength. NSIC is operating a Performance and Credit Rating Scheme through empanelled agencies like ICRA, ONICRA, Duns & Bradstreet(D&B), CRISIL, FITCH, CARE and SMERA. Small enterprise has the liberty to choose among any of the rating agencies empanelled with NSIC. Rating agencies will charge the credit rating fee according to their policies. The benefits to small enterprises are as follows:

An independent, trusted third party opinion on capabilities and credit worthiness of SSI units.

Good rating to enhance the acceptability of the SSI units with Banks. FIs, SSI's customers and buyers.

75% of the credit rating fee subject to a maximum of Rs. 25,000/- will be reimbursed to the small enterprise having a turnover upto Rs.50 lakh by way of grants.

75% of the credit rating fee subject to a maximum of Rs. 30,000/- will be reimbursed to the small enterprise having a turnover above Rs.50 lakh to Rs.200 lakh by way of grants.

75% of the credit rating fee subject to a maximum of Rs. 40,000/- will be reimbursed to the small enterprise having a turnover above Rs.200 lakh by way of grants.

Technology Support
Technology is the key to enhancing a company's competitive advantage in today's dynamic information age. Small enterprises need to develop and implement a technology strategy in addition to financial, marketing and operational strategies and adopt the one that helps integrate their operations with their environment, customers and suppliers.

NSIC offers small units the following support services through its Technical Services Centres and Extension Centres

Advising on application of new techniques

Material testing facilities through accredited laboratories

Product design including CAD

Common facility support in machining, EDM, CNC, etc.

Energy and environment services at selected centres

Classroom and practical training for skill upgadation

Infomediary Services
Information today is becoming almost as vital as the air we breathe. We need it every minute of our working lives. With increase in competition and melting away of international boundaries, the demand for information is reaching new heights. NSIC, realizing the needs of MSMEs, is offering Infomediary Services which is a one-stop, one-window bouquet of aids that will provide information on business, technology and finance, and also exhibit the core competence of Indian SMEs.

Membership Benefits

Tender & Trade Information.

Banner display on NSIC Website

Access to a wide range of technologies from India and abroad.

Access to national and international business leads, JV opportunities and trade information.

Comprehensive information on Government policies, rules and regulations, schemes and incentives.

Access to industrial databases and member's directory.

Various value added, specialized services for members of Infomediary Service.

Software Technology ParksNSIC Software Technology Parks (STPs) facilitate small industries in setting up 100% export-oriented units for software exports. They also act as nodal point to activate software exports directly through NSIC. These STPs extend support in terms of the requisite infrastructure to the SSI units to start business operations with a minimum lead time.The scheme is governed by STPI regulations of the Ministry of Information Technology, Government of India. NSIC established the first STP at Okhla, New Delhi in 1995 and second in Chennai in 2001. Several small scale units have taken advantage of these parks and contributed export earnings to the exchequer.

Technology Business Incubators
Enterprise development is one of the thrust areas for nurturing the development and growth of micro and small enterprises in the country that is being facilitated by providing handholding support to the micro and small enterprises in every field of business. Incubation is one of the appropriate tools to achieve this goal, as it provides necessary facilities for the prospective entrepreneurs and start-up companies to learn product manufacturing processes coupled with technology development, business development under one roof. In these incubators working projects depicting appropriate technology for small enterprises are displayed in working conditions.

Small Enterprise Establishment Programme(SEEP)
This programme facilitates setting up of new enterprises all over the country by creating self-employment opportunities for the unemployed persons. The objective of this scheme is to facilitate establishment of new small enterprises by way of providing integrated services in the areas of training for entrepreneurial skill development, selection of small projects, preparation of project profiles/reports, identification and sourcing of plant, machinery and equipments, facilitating sanction of credit facility and providing other support services in order to boost the development of small enterprises in manufacturing and services sectors.

International CooperationNSIC facilitates sustainable international partnerships. The emphasis is on sustainable business relations rather than on one-way transactions. Since its inception, NSIC has contributed to strengthening enterprise-to-enterprise cooperation, south south cooperation and sharing best practices and experiences with other developing countries, especially those in the African, Asian and Pacific regions. The features of the scheme are:

Identification of new export markets by participating in sector- specific exhibitions all over the world.

Sharing of Indian experience with other developing countries

International Consultancy Services
For the last five decades, NSIC has acquired various skill sets in the development process of small enterprises. The inherent skills are being networked to offer consultancy services for other developing countries. This activity has been started during 2004-05 and is expected to occupy a place in the future service profile of the Corporation. The areas of consultancy are as listed below:

Capacity Building

Policy & Institutional Framework

Entrepreneurship Development

Business Development Services

Insurance of Export Credit for Micro and Small EnterprisesNSIC is facilitating micro and small enterprises to insure their export credits by entering into strategic alliance with Export Credit Guarantee Corporation of India Limited (ECGC). MSEs would be helped in insuring their export credits through any office of the Corporation, located all over the country. This arrangement is made to strengthen promotion of exports from small enterprises.

We provide business registration services of a company in India. A
company in India requires registering in different areas to commence
their business. Registration also differs on the basis of the nature of
their business. Some of the registration required includes the
following: